You call this entrepreneurship?

Chapter 72 The story investors want to hear
Taylor looked at Qin Shaoyan with interest and made a gesture of invitation.

Qin Shaoyan raised his index finger and said, "First, the first-mover advantage caused by the new track type."

"Facebook is the first acquaintance social networking site in the United States that targets school students. Through industry ecological review, we comprehensively review old cases, understand the market environment thoroughly, open up new tracks in the fiercely competitive Internet Red Sea, and explore segmentation Blue ocean field, industry layout in advance.”

"In-depth connection with users within the campus, with result-oriented as the fundamental logic, and accumulation of potential energy."

"The market positioning is clear, accurate portraits of target users are grasped, dedicated personnel are dedicated to customer service to promptly identify user pain points, sink channels deeply, grasp customer granularity, and immersively pull through alignment."

Qin Shaoyan bent his ring finger and raised one finger and said.

"Second, the first-mover advantage creates a head cluster effect."

"Our sociology team at Harvard has done a professional survey. If we can attract 10% of the Internet users of a certain school within a week, then more than 60% of the students in this school will follow up and register within a month. "

“This is a kind of fission diffusion, especially if it exceeds the 30% line, the subsequent user growth rate will only be one-third of the previous one.”

"This is what we call viral spread."

"Our users are targeted at university campuses, but the depth of marketing channels has deepened, giving advantages to high schools."

"High school campuses are expanding much faster than college campuses. When high school students enter college, they will be our loyal users and the perfect hook to penetrate into college campuses."

"Time is on our side. Every year that passes, our advantage expands."

Taylor couldn't help but nodded, opening up a new track was indeed very advantageous.

While others are still waiting and watching, those who make the first move can seize a large piece of the market as long as they don't make mistakes.

Not to mention that the spread of Facebook is beyond imagination, and it may have completed the race before competing products appear.

Qin Shaoyan bent his last middle finger to form a fist.

"Third, we have an excellent and ambitious team."

"Through the cluster effect, we have perfectly captured the traffic dividend, achieved attribution analysis of all market categories, occupied the commanding heights to carry out market iteration, and prepared to achieve dimensionality reduction in the ecological niche."

"Once competing products appear, we can react quickly, run fast in small steps, and iterate quickly. At the same time, we will pay tribute to the superior products of our peers and carry out micro-innovation and other combinations to form a social product matrix and build a moat for the platform."

"Every time a new product is launched, we will conduct an isolation experiment on a certain campus, analyze the advantages and disadvantages of the product through big data, and then promote it on a large scale after iterative optimization."

"This can effectively avoid losses caused by failed products to the entire platform, and continuously improve the logical closed loop of the platform through small-scale trial and error."

Qin Shaoyan spoke such a long paragraph so fluently that everyone present was shocked.

Although I didn’t quite understand what he said, that feeling was special...

Particularly unclear.

Taylor's eyes suddenly lit up and he couldn't help but applaud, "Excellent, Mr. John Qin, you are truly the most special entrepreneur I have ever seen."

"Thank you for the compliment, Mr. Frank." Qin Shaoyan showed a reserved smile.

The brand positioning is clear, the business logic is self-consistent, and the development path and goals are clear. It is indeed a very rare investment project.

"You just mentioned ambition." Taylor said with a smile, "Can you share with us the ambition of your team?"

Qin Shaoyan smiled slightly and said very confidently: "The Facebook team's goal is not to build universities across the United States, but to cover all of North America, and then cover the whole world, becoming the Facebook of the world." "Of course, this is just a long-term goal." Qin Shaoyan added He added, "Our immediate goal is to capture all university campuses in the United States, and then open registration to attract users outside the university campus."

Hearing this, Taylor looked at Qin Shaoyan with even more admiration. He was ambitious but knew how to restrain himself.
He has seen too many entrepreneurs who talk nonsense when facing venture capital, talk nonsense, dare to say anything, are arrogant and blindly confident.

These people can't even explain the positioning and logic of their own projects clearly, and their future development goals are too outrageous. Some even say they will take everyone to the moon.

In contrast, Qin Shaoyan appears to be particularly outstanding.

"Building a national SNS platform is a good story." Taylor nodded, "So how much do you plan to spend?"

Qin Shaoyan raised two fingers and said, "Two hundred million dollars, release 20% of the shares."

With $200 million and 20% of the shares, Facebook’s valuation would be over one billion.

George and Fred looked shocked, their hearts beating rapidly.

When the company was founded, it was valued at hundreds of millions. In just a few weeks, the valuation increased tenfold.

"Two hundred million dollars?!" Taylor frowned.

This figure was far from his expectations. The valuation he gave was only between US$300 million and US$500 million.

"John, your offer is a bit too confident." Taylor shook his head and smiled, "We can only give a valuation of US$300 million and 30% of the shares."

Qin Shaoyan smiled and said, "Investment is about future value. If Mr. Frank thinks that a national SNS platform is only worth this price, then please allow me to say that I am very sorry. I am very doubtful about your investment vision."

Taylor leaned back on the sofa, picked up a cigar and put it in his hand, and said in a relaxed tone: "Investment is indeed about future value, but what we are talking about now is current value."

"My analysis team believes that Facebook's current value is far different from your expectations. In the end, the valuation I could give was only US$400 million."

Qin Shaoyan smiled confidently and said lightly, "Then you can fire your analysis team. They have far underestimated the potential of Facebook and the value behind it."

"I still believe in the analysis report of my team." Taylor lit the cigar in his hand. "You can also try to convince me how Facebook can have a valuation of one billion."

Qin Shaoyan said unhurriedly: "Because we already have Facebook's business model plan."

business model? !
When Taylor heard this word, he immediately sat up straight, with surprise and disbelief in his eyes, as well as some expectation, "How do you plan to make a profit?"

In the early days of the Internet industry, whether domestic or foreign, how to make profits has always been a very difficult problem.

The profitable business models of later generations were all figured out one by one. I don’t know how much it cost and how many detours they took before they found the official path.

How to monetize traffic has always been the first life-and-death problem faced by Internet companies.

In 2000, the Internet bubble disaster swept across the Internet industry. One of the important reasons was that Internet companies could not find a profit model and could only burn money blindly.

Having a business model means it has hematopoietic function, and the website does not simply burn money.

This story is what investors want.

"Business To Team!" Qin Shaoyan said with a smile, "I call it group buying."

(End of this chapter)